All Case StudiesCost Optimization

Cutting AWS Spend Without Cutting Capability

Retail technology platform — 80 employees — Chicago, IL

43%
AWS Cost Reduction
8 weeks
Engagement Duration
$930K
Annual Savings
0%
Performance Impact

The Challenge

A fast-growing retail technology platform was spending $180,000 per month on AWS with no formal cost governance structure. The engineering team moved fast in building product — but nobody owned the bill. Over two years, resource sprawl had accumulated across 14 AWS accounts with overlapping VPCs, unattached EBS volumes, idle EC2 instances, and over-provisioned RDS clusters running around the clock.

Leadership knew costs were out of control but didn't have the internal expertise to diagnose root causes or trust that reductions could be made without impacting system performance during peak retail events.

Our Approach

Skygate Advisors began with a two-week FinOps assessment using AWS Cost Explorer, Trusted Advisor, and Compute Optimizer. We mapped every dollar of spend to a specific workload or resource and categorized findings into four buckets: immediate waste elimination, right-sizing candidates, scheduling opportunities, and Reserved Instance conversion candidates.

Terminated 47 unattached EBS volumes and 12 idle Elastic IPs — immediate $8,400/month saving
Right-sized 31 EC2 instances using Compute Optimizer recommendations validated against CloudWatch metrics
Implemented resource scheduling for 18 non-production environments — shut down nights and weekends
Converted 62 on-demand EC2 instances to 1-year Reserved Instances for a 42% rate reduction
Consolidated RDS Multi-AZ clusters — merged 4 underutilized clusters; reduced write IOPS provisioning
Implemented AWS Budgets with alerting and Cost Anomaly Detection across all 14 accounts
Applied a mandatory tagging policy via Service Control Policies (SCPs) for all new resources

The Results

At the end of the 8-week engagement, the client's monthly AWS spend had dropped from $180K to $102.5K — a 43% reduction, equating to $930,000 in annualized savings. Application performance metrics were unchanged throughout, and the company's largest retail event (a national promotional sale) ran on the optimized infrastructure with record-low latency.

Beyond the cost savings, the client left with a FinOps operating model: a cost governance calendar, monthly review process, budget owner assignments for each AWS account, and automated anomaly alerting. Eighteen months after the engagement, costs have remained within 5% of the optimized baseline despite 40% revenue growth.

“We expected to save maybe $20K a month. Skygate Advisors found nearly four times that — and they did it without any service disruption or performance degradation whatsoever.”

— CTO, Retail Technology Platform Client

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